Alberta's Finance Minister Nate Horner has voiced strong objections to the proposed changes to the federal capital gains tax.In a Monday letter addressed to Canada’s Deputy Prime Minister and Minister of Finance Chrystia Feeland, Horner highlighted the detrimental effects such a tax increase would have on savings, investment, and overall productivity in Canada.The proposed tax hike, according to Horner, would not only hinder savings and investment but also unfairly impact small business owners who have diligently planned for retirement. He emphasized that these individuals and families lack the safety net of taxpayer-supported pension plans enjoyed by government officials. In its April 16 budget, the Liberals announced plans to raise the tax rate on 66% of capital gains, including profits from stocks, vacation homes and businesses, effective June 25. This marks an increase from the current rate of 50%, which has been in place since 1972.Horner urged reconsideration of the retroactive nature of the proposed tax increase, emphasizing its potential adverse effects on hardworking Canadians.Moreover, Horner expressed frustration over the lack of consultation by the federal government with provinces regarding such significant tax policy changes. He argued that measures like these undermine the efforts of provinces to implement pro-growth economic policies aimed at advancing the country as a whole.Highlighting the importance of productivity for Canada's prosperity, Horner pointed out that the tax increase would diminish the country's tax advantage and further erode its competitiveness on the global stage. He stressed the need for policies that promote investment, innovation, and risk-taking to drive economic growth, rather than imposing new taxes that hinder productivity.Furthermore, Horner underscored the potential impact of the tax increase on the healthcare system, particularly in attracting and retaining physicians. He warned that raising taxes on healthcare professionals could exacerbate existing challenges within the healthcare sector and strain provincial governments financially.Horner called on the federal government to cancel the proposed tax increase on capital gains, emphasizing the importance of fostering an environment conducive to investment and economic growth for the benefit of all Canadians.
Alberta's Finance Minister Nate Horner has voiced strong objections to the proposed changes to the federal capital gains tax.In a Monday letter addressed to Canada’s Deputy Prime Minister and Minister of Finance Chrystia Feeland, Horner highlighted the detrimental effects such a tax increase would have on savings, investment, and overall productivity in Canada.The proposed tax hike, according to Horner, would not only hinder savings and investment but also unfairly impact small business owners who have diligently planned for retirement. He emphasized that these individuals and families lack the safety net of taxpayer-supported pension plans enjoyed by government officials. In its April 16 budget, the Liberals announced plans to raise the tax rate on 66% of capital gains, including profits from stocks, vacation homes and businesses, effective June 25. This marks an increase from the current rate of 50%, which has been in place since 1972.Horner urged reconsideration of the retroactive nature of the proposed tax increase, emphasizing its potential adverse effects on hardworking Canadians.Moreover, Horner expressed frustration over the lack of consultation by the federal government with provinces regarding such significant tax policy changes. He argued that measures like these undermine the efforts of provinces to implement pro-growth economic policies aimed at advancing the country as a whole.Highlighting the importance of productivity for Canada's prosperity, Horner pointed out that the tax increase would diminish the country's tax advantage and further erode its competitiveness on the global stage. He stressed the need for policies that promote investment, innovation, and risk-taking to drive economic growth, rather than imposing new taxes that hinder productivity.Furthermore, Horner underscored the potential impact of the tax increase on the healthcare system, particularly in attracting and retaining physicians. He warned that raising taxes on healthcare professionals could exacerbate existing challenges within the healthcare sector and strain provincial governments financially.Horner called on the federal government to cancel the proposed tax increase on capital gains, emphasizing the importance of fostering an environment conducive to investment and economic growth for the benefit of all Canadians.
